When looking at your pension transfer options, you may be wondering if you need financial advice. Clifford Osborne hold the Pension Transfer Gold Standard. Here’s more information on what that means and what to look out for if you’re looking for advice…
How do I find a firm adopting the Gold Standard?
Adopters will display the Pension Transfer Gold Standard ‘badge’ and can be found by searching the Money Advice Service directory.
Further information about the Pension Transfer Gold Standard is available here.
What is the Pensions Transfer Gold Standard?
The Personal Finance Society is the professional body for the financial advisory profession in the UK, whose role is to promote ethical behaviour, high standards of professionalism for technical knowledge and client service for the ultimate benefit of the profession and consumer alike.
It is part of the Chartered Insurance Institute, the world’s largest professional body dedicated to insurance and personal finance that seeks to ‘secure and justify the confidence of the public’.
Financial advice firms who adopt and promote this standard adhere to a set of principles. As a result you can be confident that you are dealing with an ethical adviser and professional advice firm that has your best interests at heart when receiving financial advice in relation to whether or not you should transfer your pension.
Pension transfers can be complicated and there are lots of things to think about before going ahead.
Seeking professional financial advice will help to ensure you are better able to make a fully informed decision that is in your best interests.
It is for that reason that the Government has made it a legal requirement to seek financial advice before you can transfer, if you have what’s called ‘safeguarded benefits’ – in particular if you are in a defined benefit pension scheme or have a guaranteed annuity rate – and your benefits are worth £30,000 or more.
This rule is there for your protection to make sure you are aware of all the pros and cons of transferring. The Pension Transfer Gold Standard is designed to help you recognise firms that will give advice that adheres to high professional standards.
The Pensions Advice Taskforce, a representative industry body set up by the Personal Finance Society*, has established a voluntary code of good conduct for Safeguarded and Defined Benefit Pension Transfers advice – the ‘Gold Standard’.
Financial advice is regulated in the UK by the Financial Conduct Authority (FCA) that already requires firms to adhere to some ‘core principles’, two of which are especially significant when it comes to complex pensions advice like pension transfers.